Demand for real estate in Batumi is dominated by investment purchases from foreigners. As a result, the growth of the housing stock is mainly driven by investment apartments, which are mostly located near the sea, while residential developments for personal use are concentrated inside the city. Differences in location, infrastructure, price range and buyer composition are largely determined by whether a project is investment-oriented or residential.
Residential real estate
Main segment is local residents and migrants living in Batumi. While the residential market is generally balanced, nearly all ongoing projects (98%) target the budget and midscale segments, leaving limited options for high-income locals seeking premium housing for improving living conditions.
Investment real estate
A significantly larger share of ongoing constructions is concentrated in investment projects, primarily consisting of midscale studio apartments priced at USD 1,500–2,500 per sqm for turnkey condition. According to Galt & Taggart estimates, the number of short-term rental apartments is expected to double by 2029, which could put downward pressure on yields unless tourist flows/average length of stay increases.
Buyer profiles
Galt & Taggart’s developer survey indicates that roughly three-quarters of Batumi’s apartment sales go to foreigners, with buyers coming from a diverse mix of countries. Most of the demand originates from Ukraine, Russia, Belarus, Israel and Europe, while Turkey, the Arab world and Central Asia represent emerging markets. Foreign investors are drawn by high rental yield, expectations of price growth and relatively low investment cost compared to other coastal cities.
Current trends
On the primary market, after record-high activity in 2022–23, demand fell in 2024 while the volume of unsold apartments stayed elevated. Although 2025 saw a modest recovery, demand remains well below peak levels, increasing oversupply risks and making the current pace of price growth unsustainable.
On the secondary market, the expansion of Batumi’s housing stock in recent years has significantly increased secondary market activity, keeping sales on a steady level. In 2025, increased demand was reflected in faster price growth.
